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9/8/2009: E-Verify Requirements for Federal Contractors

The date is just about upon us, subject to the US District Court’s ruling on US Chamber of Commerce v. Napolitano, in which a coalition of business groups is suing the government to enjoin implementing a regulation that would require certain federal contractors and their subcontractors to use E-Verify.  The Judge is expected to issue his ruling in the case in approximately 1 week.

So, what will be expected if these requirements are implemented?  Federal contracts will begin to use new language requiring the use of E-Verify to verify the employment eligibility of all new hires, as well as existing employees who work on the federal contract.  This will apply to contractors with a performance period longer than 120 days and a value over $100,000.  Service or construction subcontracts of a covered contract would also be required to include the E-Verify clause, if the value of the subcontract is over $3,000.

The Senate approved an amendment to the FY 2010 DHS Appropriations Bill that codifies a federal contractor’s obligation to use E-Verify, but without the above-mentioned parameters and exemptions.  If the amendment becomes law, it would limit DHS’ ability to implement the federal contractor E-Verify rule as it now exists.  Both chambers of Congress are scheduled to meet in September to agree on a final package.  We are not sure if the E-Verify amendment will be included or not at this time.

Immigration Solutions will continue to monitor the FAR developments. If you have any questions about this or any other compliance issues, please contact us for more information at info@immigrationsolution.net or 1 562.612.3996.  Here is a link to our compliance services and solutions.

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